The multi-billion dollar Bitcoin issue that confuses China – here’s what we know

New suspicions have emerged in the investigation into Chinese suspect Qian Zhimin, which was conducted in both the UK and China.

According to Chinese reports, Qian acquired a total of 194,951 bitcoins over the years, but British authorities only seized 61,000 bitcoins. This supports claims that more than 120,000 Bitcoins are still missing.

Detective Joe Lane of the Metropolitan Police said it was suspected that Qian had “lost” the password to a wallet containing 20,000 BTC. The current value of these assets is approximately $1.75 billion.

Qian is accused of funneling proceeds from an illegal Chinese fundraising campaign called Lantian Gree into virtual currency. Sentenced to 11 years and 8 months in prison in a November trial in the UK, Qian’s sentencing proceedings have now been completed and the focus is now on returning his assets.

A British court has determined that 61,000 Bitcoins seized are related to funds obtained from fraudulent activity in China. However, a public hearing to return Bitcoin to China has been postponed until January 2026.

At one point, the market value of the asset in question reached about $7 billion due to rising Bitcoin prices. International legal experts say the case is no longer just a money laundering case, but a test case for digital asset ownership and cross-border jurisdiction.

According to victim testimonies reported in international media, the Lantian Gree investment program left thousands in debt. Some say they have not received a salary for years, their families have collapsed, and they are still struggling with huge debts.

In her judgment in the UK, Judge Sally Ann Hales said the victims had suffered severe damage not only economically but also socially and psychologically.

According to British court records, Qian said:

• Since 2014, investors have been opening accounts on exchanges like Huobi and converting their funds to BTC.
• When he came to the UK in 2017, he had around 70,000 BTC.
• During a raid in 2018, police found traces of an additional transfer of 18,800 BTC.
• As a result, a total of 61,000 BTC was seized.

However, a Chinese audit revealed that Qian had actually purchased 194,951 BTC. Therefore, the whereabouts of more than 120,000 Bitcoins remains a big question mark.

Experts say Qian’s guilty plea in Britain shows the validity of the evidence from China, and that the two countries are cooperating to trace the funds and compensate victims.

According to information received from Chinese authorities, two partial payments have been made to victims in the past, the first 5% and the second 8%. However, these interest rates are reportedly insufficient to cover the losses.

*This is not investment advice.